Oil Products End of Day Summary: Product Cracks Fall

Gasoline cracks have fallen on the day after EIA data showing weaker gasoline demand and a small build in stocks compared to an expected draw of -0.722m bbl. This erased gains earlier in the day, after reaching an intraday high of $12.003/b. A jump in crude has also pushed down crack spreads.

• RBOB NOV 23 up 0.6% at 2.28$/gal
• US gasoline crack down -1.2$/bbl at 10.03$/bbl
• US ULSD crack down -1.3$/bbl at 39.45$/bbl
• Gasoil NOV 23 up 0.9% at 889.5$/mt
• EIA Data, week ending 10/20: Distillates drew in line with seasonal trends amid increased exports while demand declined on the week. Implied distillates demand on a four-week basis rose.
• Gasoline inventories rose 0.2m bbl amid lower demand 8.86mbpd and lower exports.
• Russian fuel exports fell to 2.1mn bpd in the first three weeks of October according to Vortexa figures – 8% down on September and the lowest since July 2020.
• Asian jet fuel demand is expected to remain sluggish for the remainder of 2023, amid falling travel demand and higher export volumes from China, according to Platts.
• China and Singapore gasoline exports to Mexico from Jan-Sep were the highest since 2019, according to ArgusMedia citing GTT Customs Data.
• Gasoline demand likely averaged just below 8.5mbpd last week according to the OPIS survey, down from 9.411mbpd during the same week in 2021.
• Russian gasoline production rose by 0.2% in the week to Oct. 22, according to Rosstat.